THY PRIVATISATION INCHES CLOSER

By Dino D'Amore
December 6, 2010 10:34

Although the Turkish Privatization Administration (ÖİB) has announced it is seeking consultancy services to determine the privatisation strategy for Turkish Airlines, a strategic decision to privatise the airline has yet to be made.

Turkey holds 49.12% in the flag carrier, which sources say it is considering divesting as much as 15% via a public offering. The fact that shares in THY closed down after the ÖİB announcement, suggesting analysts expect any offering to discounted. The state offered 25% in May 2006 and any second offering is usually offered at less.